Stay granted on levy of fee for failure to file TDS Return u/s 234E

HC stays Late Filing Fees u/s. 234E for late filing of TDS/TCS Return

Kerala High Court has granted interim stay on Levying of Fees for failure of filing TDS/TCS statement on time under section 234E.

Section 234E which was inserted by Finance Act, 2012 provides a late fee of Rs.200/- per day’s delay in filing the statement of Tax Deducted at Source (TDS) or Tax Collected at Source (TCS).

The constitutional validity of Section 234E of the Income Tax Act, 1961 has been challenged in the Kerala High Court in the case of Narath Mapila LP School vs. UOI WP (C) No. 31498/2013(J). Vide an interim order dated 18.12.2013, the High Court has admitted the Petition and granted a stay of proceedings for a period of two months.